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Components of Strategic Human Resource Management

This definition implies the following four components of SHRM

1. It focuses on an organization’s human resources (people) as the primary source of competitive advantage of the organization.
2. The activities highlight the HR programs, policies, and practices as the means through which the people of the organization can be deployed to gain a competitive advantage.
3. The pattern and plan imply that there is a fit between HR strategy and the organization’s business strategy (vertical fit) and between all of the HR activities (horizontal fit).
4. The people, practices, and planned patterns are all purposeful, that is, directed towards the achievement of the goals of the organization.